Pentair Ltd. (PNR) Tuesday reported a decline in profit for the first quarter, hurt mainly by acquisition charges, increased expenses and lower margins, which offset a surge in revenues. Excluding special items, adjusted earnings improved from a year ago, sending Pentair shares up by six percent on the New York Stock Exchange.
Schaffhausen, Switzerland-based Pentair's first-quarter profit dropped to $52 million or $0.25 per share from $62 million or $0.62 per share last last year.
Adjusted profit, which excludes acquisition expenses, gain on asset sale and other special items, improved to $0.58 per share from $0.54 per share last year.
Analysts polled by Thomson Reuters expected earnings of $0.56 per share for the quarter. Analysts' estimates typically exclude special items.
Pentair, a water filtration and flow-control products maker, said sales for the quarter soared to $1.77 billion from $858 million last year. Thirteen analysts had a consensus revenue estimate of $1.80 billion for the quarter.
Last September, Pentair and flow-control unit of Tyco International Ltd. (TYC) merged in a deal worth $4.5 billion.
Gross margins dipped to 29.5 percent from 32.7 percent last year. Selling, general and administrative costs increased to $416 million from $174 million last year.
"We continue to see signs of a North American residential recovery and global energy remains strong, while infrastructure and industrial markets continue to be mixed," said Chief Executive Randall Hogan.
Looking forward to the second quarter, Pentair anticipates adjusted earnings of $0.88 to $0.91 per share and revenues around $1.9 billion. Analysts currently expect earnings of $0.90 per share on revenues of $1.97 billion for the second quarter.
The company continues to expect full-year adjusted earnings of $3.10 to $3.30 per share and sales of about $7.6 billion. Analysts currently expect earnings of $3.20 per share on revenues of $7.63 billion for 2013.
The quarterly dividend effective for the first and second quarters of 2013 is $0.23 per share, the company noted. Meanwhile, Pentair said it would seek shareholders' approval to increase the dividend to $0.25 per share for each of the third and fourth quarters of 2013 and the first and second quarters of 2014.
PNR is currently trading at $52.78, up $2.73 or 5.45%, on a volume of 1.6 million shares.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.